Uploaded January 2026 | Updated September 2026, 1 week ago
Politicians in Mexico are proposing a "violence tax" on video games, claiming they cause real-world crime. But does the economic logic actually hold up?
In this video, we dive into the "Pigouvian tax" - a concept used to fix negative externalities like pollution - and explain why applying it to gaming is based on flawed science and moral panic. We look at decades of research showing that not only is the link between games and violence non-existent, but gaming might actually keep people away from riskier environments.
What you’ll learn:
- What a Pigouvian tax is and why it's being used here.
- The truth about the "aggression vs. violence" research.
- Why blaming video games is a convenient scapegoat for deep-seated institutional issues.
- Explore more about economics and liberty at fee.org.
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Credits:
Written by Sergio Martínez
Produced by Daphne Posadas
Edited by Luis Fernando López
Project Management by Abby Richardson
Thumbnail Design by Yorel Ktech
Articles & Sources:
fee.org/articles/video-game-violence-the-latest-chapter-in-a-long-history-of-complaining-about-violent-entertainment/?utm_source=Youtube&utm_medium=social&utm_campaign=Fee-online
fee.org/articles/mexicans-must-pay-to-play/?utm_source=Youtube&utm_medium=social&utm_campaign=Fee-explains
0:00 The "Gamer Tax" is here
0:24 Why governments need a scapegoat
0:55 The 30-year "Violent Video Game" myth
1:40 What is a Pigouvian Tax? (Economic logic explained)
2:32 Why the argument for taxing games collapses
3:17 Aggression vs. Violence: What the science actually says
4:01 The "Incubation Effect": Why gaming might reduce crime
4:25 How the tax kills the creative economy
5:24 Scapegoating vs. Structural Crisis in Mexico
5:57 3 Lessons for evidence-based policy
6:36 Explore more at FEE.org
Politicians in Mexico are proposing a "violence tax" on video games, claiming they cause real-world crime. But does the economic logic actually hold up?
In this video, we dive into the "Pigouvian tax" - a concept used to fix negative externalities like pollution - and explain why applying it to gaming is based on flawed science and moral panic. We look at decades of research showing that not only is the link between games and violence non-existent, but gaming might actually keep people away from riskier environments.
What you’ll learn:
- What a Pigouvian tax is and why it's being used here.
- The truth about the "aggression vs. violence" research.
- Why blaming video games is a convenient scapegoat for deep-seated institutional issues.
- Explore more about economics and liberty at fee.org.
Please Subscribe: youtube.com/@FEEonline
Follow us everywhere:
FEE on Instagram: instagram.com/feeonline
FEE on Facebook: facebook.com/feeonline
FEE on X: https://x.com/feeonline
FEE on TikTok: tiktok.com/@feeonline
Credits:
Written by Sergio Martínez
Produced by Daphne Posadas
Edited by Luis Fernando López
Project Management by Abby Richardson
Thumbnail Design by Yorel Ktech
Articles & Sources:
fee.org/articles/video-game-violence-the-latest-chapter-in-a-long-history-of-complaining-about-violent-entertainment/?utm_source=Youtube&utm_medium=social&utm_campaign=Fee-online
fee.org/articles/mexicans-must-pay-to-play/?utm_source=Youtube&utm_medium=social&utm_campaign=Fee-explains
0:00 The "Gamer Tax" is here
0:24 Why governments need a scapegoat
0:55 The 30-year "Violent Video Game" myth
1:40 What is a Pigouvian Tax? (Economic logic explained)
2:32 Why the argument for taxing games collapses
3:17 Aggression vs. Violence: What the science actually says
4:01 The "Incubation Effect": Why gaming might reduce crime
4:25 How the tax kills the creative economy
5:24 Scapegoating vs. Structural Crisis in Mexico
5:57 3 Lessons for evidence-based policy
6:36 Explore more at FEE.org
